Traditional implantable defibrillators use thin, insulated wires to send electrical signals to the heart to coordinate pumping action. Cameron Health's S-ICD device sits just below the skin's surface and its electrodes do not directly touch the heart or blood vessels. The device is approved in several European countries, and more than 1,000 units have been implanted worldwide.

"We believe that the S-ICD System represents a breakthrough treatment for patients at risk of sudden cardiac arrest and strengthens our ability to deliver value to physicians, their patients and health care systems around the world," said Boston Scientific CEO Hank Kucheman.

Under the terms of the deal, Natick, Mass.-based Boston Scientific will pay an initial $150 million after the acquisition closes. The company will pay an additional $150 million if S-ICD wins U.S. regulatory approval, plus another $1.1 billion in potential payments based on specified sales figures.

Boston Scientific expects the purchase to lower 2012 earnings by 1 cent per share. Analysts expect the company to earn 43 cents per share this year, according to a survey by FactSet.

Cameron Health Inc. is a privately-held company based in San Clemente, Calif.